Dollar Strikes Back on Solid Job Data, With Strong Wage Growth
| Action Insight Daily Report 12-2-22 |
Dollar Strikes Back on Solid Job Data, With Strong Wage Growth |
Dollar rebounds notably after a set of solid non-farm payroll data, with strong wage growth. US stock futures take a dive in response to the news, while treasury yields recover. Australian Dollar appears to be responding most negatively for now, as pressured by risk-off sentiment too. But Euro and Sterling are not far away. Yen also retreats but stays relatively steady except versus Dollar. Technically, for Dollar to confirm short term bottoming, some levels need to be taken out, including 1.0289 support in EUR/USD, 1.1898 support in GBP/USD, 137.66 resistance in USD/JPY and 0.9597 resistance in USD/CHF. Let's see if the greenback could extend today's rebound and give these levels a test. In Europe, at the time of writing, FTSE is down -0.56%. DAX is down -0.55%. CAC is down -0.71%. Germany 10-year yield is up 0.016 at 1.831. Earlier in Asia, Nikkei dropped -1.59%. Hong Kong HSI dropped -0.33%. China Shanghai SSE dropped -0.29%. Singapore Strait Times dropped -1.02%. Japan 10-year JGB yield rose 0.0003 to 0.252. |
EUR/USD Mid-Day Outlook Daily Pivots: (S1) 1.0435; (P) 1.0484; (R1) 1.0575; More... Intraday bias in EUR/USD is turned neutral first with current retreat. But further rally is still in favor. Above 1.0544 will resume the rise from 0.9543 to 1.0609 fibonacci level. However, firm break of 1.0289 support will confirm short term topping and bring deeper decline back to 1.0092 resistance turned support. | |
| GMT | Ccy | Events | Actual | Forecast | Previous | Revised |
|---|
| 21:45 | NZD | Terms of Trade Index Q3 | -3.40% | 1.50% | -2.40% | -2.30% | | 23:50 | JPY | Monetary Base Y/Y Nov | -6.40% | -4.50% | -6.90% | | 07:00 | EUR | Germany Trade Balance (AUD) Oct | 6.9B | 4.3B | 3.7B | | 10:00 | EUR | Eurozone PPI M/M Oct | -2.90% | -2.00% | 1.60% | | 10:00 | EUR | Eurozone PPI Y/Y Oct | 30.80% | 31.50% | 41.90% | | 13:30 | USD | Nonfarm Payrolls Nov | 263K | 200K | 261K | 284K | | 13:30 | USD | Unemployment Rate Nov | 3.70% | 3.70% | 3.70% | | 13:30 | USD | Average Hourly Earnings M/M Nov | 0.60% | 0.30% | 0.40% | 0.50% | | 13:30 | CAD | Net Change in Employment Nov | 10.1K | 10.5K | 108.3K | | 13:30 | CAD | Unemployment Rate Nov | 5.10% | 5.30% | 5.20% |
|
|
|
